Millionaire Problem: You are presently 22 years old. You want to have a retirement account of $500000 by the time you are 65. Right now you have $1500 in the bank. You estimate that you can afford to save $2000 a year towards retirement.

How much will you actually have at age 65? How much do you need to save annually to have the $1000000?

You believe that you can average 8 % return per year.